Echotitbits – Nigeria News

Tag: FX market

  • Naira Maintains Resilience in Official Market as Exchange Rate Stabilizes

    Naira Maintains Resilience in Official Market as Exchange Rate Stabilizes

    Figures cited by Vanguard show that the Nigerian Naira held its ground against the US Dollar on February 4, 2026, opening the session at approximately N1,387.42 in the official window. This continued stability is being attributed to the sustained impact of the Central Bank of Nigeria’s (CBN) Electronic Foreign Exchange Matching System (EFEMS), which has drastically reduced speculative activities and improved market transparency.

    Market analysts observe that the naira’s performance is bolstered by healthy external reserves and the clearing of historic FX backlogs. While the parallel market continues to trade at a premium—ranging between N1,460 and N1,475—the spread has narrowed significantly compared to the volatility experienced in late 2025. The absence of “aggressive speculative activity” is seen as a major win for the current monetary policy direction.

    This stability is corroborated by reports from Punch and ThisDay. Punch highlights that the convergence of rates is helping corporate planning, stating that “businesses are finally seeing a predictable window for import financing.” Meanwhile, ThisDay reports that the central bank’s recent liquidity injections have successfully met retail demand, with an analyst quoted as saying, “The current exchange rate reflects a genuine market equilibrium rather than artificial suppression.”

    Echotitbits take: The Naira’s stability is a breather for an economy that has faced years of currency trauma. The success of the EFEMS suggests that structural reforms in the FX market are finally taking root. For the average Nigerian, this could lead to a gradual reduction in the cost of imported goods, provided the CBN maintains its current level of transparency and supply.

    Source: The Punch – https://punchng.com/naira-hits-1418-26-at-official-market/, February 4, 2026

    Photo credit: The Punch

  • Tinubu says 2026 begins a “more robust phase” for Nigeria’s economic growth

    Tinubu says 2026 begins a “more robust phase” for Nigeria’s economic growth

    2026-01-01 07:35:00
    According to Vanguard, President Bola Tinubu said 2026 would mark the beginning of a more robust phase of economic growth as reforms mature.

    The messaging positions recent macro decisions—subsidy removal, FX changes, and fiscal tightening—as a bridge from instability toward higher growth and investor confidence.

    Household pressure points—prices, jobs and purchasing power—remain the practical scorecard for whether the optimism resonates.

    Punch also framed the outlook as Tinubu pledging a “strong economic rebound.”

    The Guardian Nigeria similarly carried the “more robust phase of economic growth” line in its reporting of the New Year message.

    Echotitbits take:

    The market will judge by outcomes: inflation direction, FX stability, real wages, and whether power/transport constraints ease. Watch Q1 indicators and whether policy consistency holds under social pressure.

    Source: Guardian — January 1, 2026 (https://guardian.ng/politics/full-text-2026-marks-start-of-more-robust-economic-growth-says-tinubu-in-new-year-message/)

    Guardian 2026-01-01

    Photo Credit: Guardian

  • CBN projects FX reserves could hit $51bn by 2026

    CBN projects FX reserves could hit $51bn by 2026

    2025-12-31 08:21:00

    Figures cited by PUNCH show the Central Bank of Nigeria expects external reserves to climb to about $51.04bn in 2026, up from a projected $45bn in 2025, based on assumptions about FX-market conditions and inflows.

    The forecast is tied to the CBN’s 2026 macro outlook, leaning on expectations of reduced pressure in the FX market, improved export earnings, and higher remittance inflows.

    CBN also points to refining capacity and broader reforms as potential tailwinds that reduce import pressure and support reserve accumulation over time.

    Validation: Channels Television said “The external reserves are projected at $51.04bn in 2026, compared with $45.01bn in 2025.” and The Guardian reported “external reserves… to rise to US$51.04 billion.”

    Echotitbits take: This projection is optimistic—and markets will judge credibility by liquidity and transparency. Watch the drivers: oil receipts, diaspora remittances, and whether FX spreads truly narrow across official and parallel windows.

    Source: The Punch — 31 December 2025 (https://punchng.com/fx-reserves-to-hit-51bn-by-2026-cbn/)

    The Punch 31 December 2025

    Photo Credit: The Punch

  • CBN’s BDC approvals deliver ₦192m in licensing fees as FX clean-up continues

    CBN’s BDC approvals deliver ₦192m in licensing fees as FX clean-up continues

    Photo credit: The Guardian Nigeria News — CBN HQ Abuja:

    2025-12-20 12:25:00

    Reporting by Punch indicates the Central Bank of Nigeria has collected ₦192 million in licensing-related fees after issuing final approvals to 82 bureau de change operators.

    The approvals sit within the CBN’s broader attempt to formalise retail FX activity, reduce leakages and improve traceability in foreign-exchange transactions.

    Beyond the revenue, the regulatory signal is the big story: tighter licensing and supervision could reshape the BDC landscape by pushing informal operators out and strengthening compliance expectations for approved players.

    For consumers, the outcome to watch is whether a more regulated ecosystem improves transparency and pricing—or simply shifts activity into other channels if supply remains constrained.

    Reuters reported the same final-licence milestone, describing approvals for “82 BDCs” and linking it to efforts to curb street trading.

    CBN guidance on BDC licensing also details fee requirements, including a “non-refundable final licence fee,” consistent with a structured licensing process.

    Echotitbits take: The real test is enforcement. If street trading remains unchecked, licensing reforms won’t translate into stability. Also watch how banks and fintechs integrate retail FX flows as regulators tighten the market structure.

    Source: The Guardian Nigeria News — December 20, 2025 https://guardian.ng/featured/cbn-issues-82-new-bdc-licences-moves-to-curb-unregistered-fx-operators/